The consolidation phase continued at CNX S&P Nifty on Monday, lacking any cues to move in either direction market ended flat with a positive bias. Traders remain concerned about the local political development and crucial meet in Europe to try to clear an aid payment to Greece and produce a plan to keep the country a solvent member of the currency bloc. There was not much from the Asian peers too and traders remained on sidelines.
Back home, the trade remained range bound and Nifty traded throughout the day in a tight band of 25 points. There was an all party meeting going on that kept market-men on tenterhook that whether government will be able to clear the reform bills in the parliament or not. The meeting however, failed to bring any consensus with the government appealing to opposition parties to reconsider their demand for a debate under rules that stipulate voting and the latter remaining adamant. Though there was some respite for the government with opposition getting marginalized and only main opposition BJP and Left along with JD (U) remaining adamant for the voting. On the sectoral front, aviation sector kept flying high on stake sale buzz; it was report that different Indian carriers are in talks with carriers based in the Middle East and Southeast Asia.
Most of the sectoral indices on the NSE settled in the green, only CNX PSE down by 0.49%, Bank Nifty down by 0.38%, CNX Finance down by 0.32%, CNX Auto down by 0.20% and CNX Energy down by 0.08% were the losers. On the other hand CNX IT up by 1.24%, CNX FMCG up by 1.18%, CNX Media up by 0.91% and CNX MNC up by 0.73% were the major gainers. The India Volatility Index (VIX), a gauge for market’s short term expectation of volatility, declined by 0.07% and reached 14.67.
The India VIX witnessed contraction of 0.07% at 14.67 as compared to its previous close of at 14.68 on Friday.
The 50-share S&P CNX Nifty gained 9.30 points or 0.17% to settle at 5,635.90.
Nifty November 2012 futures closed at 5642.75 on Monday at a premium of 6.85 points over spot closing of 5,635.90, while Nifty December 2012 futures ended at 5677.95, at a premium of 42.05 points over spot closing. Nifty November futures saw contraction of 1.25 million (mn) units taking the total outstanding open interest (OI) to 11.50 mn units. The near month November 2012 derivatives contract will expire on November 29, 2012.
From the most active contracts, RCOM November 2012 futures were trading at a premium of 0.55 at 67.95 compared with spot closing of 67.40. The number of contracts traded was 28,888.
Tata Motors November 2012 futures were trading at a premium of 0.40 at 263.4 compared with spot closing of 263.00. The number of contracts traded was 17,329.
DLF November 2012 futures were at a premium of 1.25 point at 200.65 compared with spot closing of 199.40. The number of contracts traded was 13,941.
Tata Steel November 2012 futures were at a premium of 1.00 point at 372.05 compared with spot closing of 371.05. The number of contracts traded was 20,041.
ICICI Bank November 2012 futures were at a premium of 3.00 point at 1021.3 compared with spot closing of 1018.30. The number of contracts traded was 17,822.
Among Nifty calls, 5,700 SP from the November month expiry was the most active call with contraction of 0.09 million open interest.
Among Nifty puts, 5,500 SP from the November month expiry was the most active put with an addition of 0.25 million open interest.
The maximum OI outstanding for Calls was at 5700 SP (8.67mn) and that for Puts was at 5500 SP (8.67 mn).
The respective Support and Resistance levels are: Resistance 5648.92 -- Pivot Point 5636.18 -- Support 5623.17.
The Nifty Put Call Ratio (PCR) OI wise stood at 1.10 for November -month contract.
The top five scrips with highest PCR on OI were Welcorp 18.75, Maruti 1.67, Titan 1.58, Axis Bank 1.57 and HDFC Bank 1.49.
Among most active underlying, Suzlon Energy witnessed contraction of 39.54 million of Open Interest in the November month futures contract followed by Unitech which witnessed contraction of 13.52 million of Open Interest in the near month contract. Meanwhile, Jaiprakash Associates witnessed contraction of 10.75 million in the November month futures. Also, RCOM witnessed contraction of 21.30 million in Open Interest in the November month contract. Finally, IFCI witnessed contraction of 21.88 million of Open Interest in the near month futures contract.
